CLA-2 CO:R:C:T 953774 ch
Kim Greenwood
Customs Import Administration
Esprit De Corporation
900 Minnesota Street
San Francisco, California 94107
RE: Modification of DD 880908; handbags; articles of a kind
normally carried in the pocket or in the handbag;
clutch; wallet; articles more specifically described as
wallets.
Dear Ms. Greenwood:
Pre-Entry Classification Ruling Letter (DD) 880908, dated
December 21, 1992, concerned the classification of two styles of
containers under the Harmonized Tariff Schedule of the United
States Annotated (HTSUSA). We have had occasion to review this
ruling and find that the classification of these articles under
subheading 4202.22.1500, HTSUSA, was partially in error.
FACTS:
Style 670183 is a fold over east/west envelope style
container with a snap flap closure. It measures 7 1/4 inches by
4 inches, and possesses a gusset which expands from a thickness
of approximately 1 inch to 1 3/4 inches. Two view windows for
identification cards are located on the inside of the flap. The
front of the main body features six credit card slots. The
interior has three compartments. Two of the compartments are
suitable for the storage of paper money and other small personal
effects. A check book wallet has been placed into one of these
compartments. These sections are separated by a full width
zippered pouch of plastic sheeting, which is suitable for the
storage of coins and other small personal effects. The exterior
rear of the container features a six inch long pocket with zipper
closure. This pocket is of a size suitable for the storage of
some paper and coin currency, and other flat personal effects.
Style 670543 is a fold over east/west envelope style
container with a snap flap closure. It measures 7 1/4 inches by
4 inches, and possesses a gusset which expands from a thickness
of approximately 1 inch to 1 3/4 inches. This item opens in a
tri-fold manner. The lower portion of the interior features six
credit card slots and a view window for an identification card.
This portion also has two bill-fold type pockets for paper
currency. The front of the main section has six additional
credit card slots. This section has two interior dividers which
create three compartments. A check book wallet has been placed
into the middle compartment. The remaining compartments are of a
size suitable for paper money currency and other small personal
effects. The exterior rear of the article features a full width
open pocket. Beneath the open pocket is a zipper pocket.
Both styles 670173 and 670543 possess an outer surface of
PVC plastics laminated over a textile backing material.
ISSUE:
Whether the two containers are classifiable as handbags,
pursuant to subheading 4202.22, HTSUSA; or as articles of a kind
normally carried in the pocket or in the handbag, pursuant to
subheading 4202.32, HTSUSA?
LAW AND ANALYSIS:
Classification of goods under the HTSUSA is governed by the
General Rules of Interpretation (GRI). GRI 1 provides that
classification is determined first in accordance with the terms
of the headings of the tariff and any relative section or chapter
notes. Where goods cannot be classified on the basis of GRI 1,
the remaining GRI will be applied in order.
Heading 4202, HTSUSA, provides for:
Trunks, Suit-Cases, Vanity-Cases, Executive-Cases,
Briefcases, School Satchels, Spectacle Cases, Binocular
Cases, Camera Cases, Musical Instrument Cases, Gun
Cases, Holsters and Similar Containers; Travelling-
Bags, Toilet Bags, Rucksacks, Handbags, Shopping-Bags,
Wallets, Purses, Map-Cases, Cigarette-Cases, Tobacco-
Pouches, Tool Bags, Sports Bags, Bottle-Cases,
Jewellery Boxes, Powder-Boxes, Cutlery Cases and
Similar Containers, of Leather or of Composition
Leather, of Sheeting of Plastics, of Textile Materials,
of Vulcanised Fibre or of Paperboard, or Wholly or
Mainly Covered with Such Materials or With Paper.
(Emphasis added).
Thus, handbags, wallets and similar containers with outer surface
of plastic sheeting are classifiable under heading 4202.
Subheading 4202.22 provides for handbags with outer surface
of plastic sheeting. On the other hand, subheading 4202.32
encompasses articles of a kind normally carried in the pocket or
in the handbag, with outer surface of plastic sheeting. The
Explanatory Notes (EN) to the Harmonized Commodity Description
and Coding System, which constitute the official interpretation
of the nomenclature at the international level, provide in
pertinent part:
Subheadings 4202.31, 4202.32 and 4202.39
These subheadings cover articles of a kind
normally carried in the pocket or in the handbag and
include spectacle cases, note-cases (bill-folds),
wallets, purses, key-cases, cigarette-cases, cigar-
cases, pipe-cases and tobacco-pouches. (Emphasis
added).
Therefore, if the submitted samples are wallets, they are
classifiable as articles of a kind normally carried in the pocket
or in the handbag.
The term "wallet" is not defined in the HTSUSA or in the
applicable EN. However, we note the following definitions of the
term "wallet" from lexicographic sources:
Essential Terms of Fashion: A Collection of
Definitions, Charlotte M. Calasibetta, Fairchild
Publications, 1986: An item used to carry paper money,
credit cards, photographs and sometimes with a change
purse or space for a check book or pad.
The Fashion Dictionary, Mary Brooks Picken, Funk &
Wagnalls, 1973: 1. Flat purse or pocketbook, for
carrying either paper money or coins.
Webster's New Collegiate Dictionary, G. & C. Merriam
Co., 1977: 1. a bag for carrying miscellaneous
articles while traveling; 2 a: billfold b: a
pocketbook with compartments for change, photographs,
cards, and keys.
Webster's New World Dictionary, Third College Edition,
Simon & Schuster, Inc., 1988: 1. [Archaic] a
knapsack; 2. a flat pocketbook, as of leather, with
compartments for paper money, cards, etc.; billfold.
Styles 670183 and 670543 feature compartments specially fitted to
hold such items as paper money, credit cards, photographs,
change, and check books. They are relatively flat, as they
cannot be expanded to a width greater than 1 3/4 inches. Hence,
they appear to be prima facie classifiable as wallets.
We also recognize that the term "handbag" has been defined
as follows:
Essential Terms of Fashion: A Collection of
Definitions: Accessory carried primarily by women and
girls to hold such items as money, credit cards, and
cosmetics.
The Fashion Dictionary: Soft or rigid bag carried in
hand or on arm. Size, shape, handle, etc., depend on
fashion. Used by women as container for money and
pocket-sized accessories.
Webster's New Collegiate Dictionary: 1. traveling bag;
2. a woman's bag held in the hand or hung from a
shoulder strap and used for carrying small personal
articles and money.
Webster's New World Dictionary: A bag, usually of
leather or cloth, held in the hand or hung by a strap
from the arm or shoulder and used, by women, to carry
money, keys, and personal effects.
In addition, the terms "clutch" and "clutch bags" are
recognized as a kind of "handbag":
Essential Terms of Fashion: A Collection of
Definitions: Small or medium-sized handbag made in
envelope style or with zippered top. May have an
optional detachable strap or laces--otherwise
"clutched" in hand or tucked under arm.
The Fashion Dictionary: Bag of medium size in envelope
style that is carried in the hand, of various fabrics
or leathers.
Webster's New Collegiate Dictionary: A woman's small
usually strapless handbag.
Webster's New World Dictionary: A woman's small
handbag with no handle or strap, held in the hand.
In this case, the articles in question are designed to carry
money and other personal effects. They feature an envelope style
and are held in the hand or under the arm. Hence, these items
are prima facie classifiable as clutch handbags.
Thus, the instant articles are prima facie classifiable
under two separate subheadings of heading 4202. GRI 6 states
that:
For legal purposes, the classification of goods in the
subheadings of a heading shall be determined according
to the terms of those subheadings and any related
subheading notes and, mutatis mutandis, to the above
rules, on the understanding that only subheadings at
the same level are comparable. For the purposes of
this rule, the relative section, chapter and subchapter
notes also apply, unless the context otherwise
requires.
It follows that we may use GRI 1 through 5 to determine the
proper classification of the instant merchandise.
GRI 3 controls the classification of merchandise which is
prima facie classifiable under two or more subheadings. GRI 3(a)
provides that "the heading which provides the most specific
description shall be preferred to headings providing a more
general description." The EN to GRI 3(a) state in pertinent
part:
If the goods answer to a description which more clearly
identifies them, that description is more specific than
one where identification is less complete.
In this instance, the term "wallets" most specifically
describes the instant merchandise. We note that wallets are
usually specially shaped or fitted to hold paper money, credit
cards, coins and identification cards. Here, both styles feature
slots and compartments fitted to hold these articles.
Moreover, the instant containers measure 7 1/4 inches in
length, 4 inches in height, with a maximum width of 1 3/4 inches.
Containers of such dimension fit snugly inside compartments found
in many handbags. Based upon the size of the instant merchandise
and the fact that they are specially shaped and fitted to hold
small personal effects, we conclude that they will be principally
used as articles carried in the handbag.
We recognize that the samples contain checkbook covers which
themselves would be classified as articles normally carried in
the handbag. However, the presence of the checkbook covers does
not preclude the instant articles from being classified as
wallets. The definition of the term "wallet" contained in the
Essential Terms of Fashion states that a checkbook is an item
that may be carried in a wallet. In addition, there is no
specific requirement that we classify an article as a handbag if
it contains an article normally carried in the handbag.
We also concede that the samples contain compartments which
are not specially shaped or fitted to hold certain personal
effects. These sections resemble those found in handbags, and
are suitable for holding a variety of small personal effects.
However, the compartments are not as large as those found in a
typical handbag. They cannot accommodate, for example, items
such as a hairbrush, certain cosmetics or a set of keys on a
chain, which are often placed in handbags. Hence, we conclude
that these compartments play an ancillary role in relation to the
entire article.
We hasten to add that if the containers were larger, less
compartmentalized or exhibited other attributes typically
associated in handbags, they could be classified as handbags.
Therefore, the classification of envelope style clutch containers
will be on a case-by-case basis.
HOLDING:
The subject merchandise is classifiable under subheading
4202.32.1000, HTSUSA, which provides for articles of a kind
normally carried in the pocket or handbag: with outer surface of
plastic sheeting or of textile materials: with outer surface of
plastic sheeting: of reinforced or laminated plastics. The
applicable rate of duty is 12.1 cents/kg + 4.6 percent ad
valorem.
This notice to you should be considered a modification of DD
880908 under 19 CFR 177.9(d)(1). We recognize that pending
transactions may be adversely affected by this modification, in
that current contracts for importations arriving at a port
subsequent to this decision will be classified pursuant to it.
If such a situation arises, your client may, at its discretion,
notify this office and apply for relief from the binding effects
of this decision as may be warranted by the circumstances.
However, please be advised that in some instances involving
import restraints, such relief may require separate approvals
from other government agencies.
Sincerely,
John Durant, Director